Matt Hougan, chief investment officer at Bitwise, said the stablecoin market is poised for substantially stronger growth, saying stablecoins will reach a much higher level. The Federal Reserve Bank of San Francisco has said stablecoin demand for U.S. Treasuries is partly offsetting a decline in China’s holdings of U.S. government debt. Stablecoins are digital tokens designed to maintain a relatively stable value, often against a fiat currency.